This paper examines a three-period model of an investment decision in a network industry characterized by demand uncertainty, economies of scale and sunk costs. In the absence of regulation we identify the market conditions under which a monopolist decides to invest early as well as the...

We assembled a database consisting of fifty-two regulatory decisions, spanning two hundred and fifty-four annual observations, made by seven different regulators and across five different industries. For each of these observations, we construct a variable that represents the proportion of the...